Government Approves 31 More ECMS Projects, Taking Total Sanctions to 106

The latest approvals underscore the government’s push to deepen domestic electronics manufacturing

The Union government has approved 31 additional projects under the Electronics Component Manufacturing Scheme (ECMS), taking the total number of sanctioned projects to 106. The latest approvals involve an investment of ₹7,877 crore and are expected to generate production worth ₹82,243 crore and create 9,588 direct jobs, the Ministry of Electronics and Information Technology (MeitY) said.

The latest tranche marks the expansion of the scheme into new areas of domestic electronics manufacturing. For the first time, approvals have been granted for manufacturing components such as filters, coils and speakers, as well as raw materials including acetylene black and electrolyte additives. Three projects involving the manufacture of capital equipment have also been approved.

Across the 106 sanctioned projects, the ECMS now represents a total investment of ₹69,548 crore, exceeding the scheme’s original investment target of ₹59,350 crore. The projects are expected to generate a production value of ₹5,34,101 crore across 15 states and create 74,628 direct jobs. Including indirect employment, the scheme is expected to support around 2.5 lakh jobs.

Union Minister for Electronics and Information Technology Ashwini Vaishnaw said the scheme had exceeded its initial expectations. According to him, the government had initially planned to approve around 60 companies under the programme, but the number has now reached 106.

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Vaishnaw said the focus would now shift from securing approvals to ensuring timely execution and production. Of the approved projects, production has already commenced at 38 facilities, while 16 projects are currently under construction.

The minister also highlighted the growing diversity of products covered under the ECMS. While the initial focus was on assembling finished electronics products, the programme has progressively expanded to modules, components, raw materials and capital equipment.

Three companies have now received approval to manufacture capital equipment in India. Vaishnaw urged industry associations, including the Electronic Industries Association of India (ELCINA), India Cellular and Electronics Association (ICEA) and Manufacturers’ Association for Information Technology (MAIT), to conduct workshops aimed at strengthening domestic manufacturing capabilities for such equipment.

The government said the scheme is also helping reduce India’s dependence on imported electronics components. According to Vaishnaw, domestic manufacturers now meet around 45% of the country’s PCB demand and have started exporting PCBs. India also meets about 60% of the demand for lithium-ion cells used in digital applications and has achieved 80% self-reliance in laminates.

The country has also moved towards self-reliance in optical transceivers, connectors and relays, with exports beginning in some of these categories.

Vaishnaw said India’s electronics manufacturing sector has grown sevenfold over the past 12 years, with production crossing ₹13 lakh crore. Electronics exports have increased elevenfold to more than ₹4 lakh crore, making electronics the country’s third-largest export category. Electronics production rose 15.8% to ₹13.11 lakh crore in 2025-26, compared with ₹11.32 lakh crore in the previous year.

MeitY Secretary S. Krishnan said ECMS is among the ministry’s fastest-moving programmes, with approval meetings being held almost every week. He noted that the scheme had surpassed its original investment and output targets, although employment generation was yet to reach the initial target.

Several approved projects are also nearing commercial operations. Dixon Technologies’ camera module facility in Noida is expected to become operational within four months, while Motherson’s enclosure plant near Chennai and Wipro’s laminate plant are expected to commence operations within two to three months. Yuzhan Technology, a Foxconn company, is expected to begin operations within six months.

The ECMS was approved by the Union Cabinet on March 28, 2025, and notified on April 8, 2025, with a total outlay of ₹22,919 crore. The scheme provides incentives linked to investment and production across electronics components, sub-assemblies, capital equipment and supply-chain products, particularly in areas with high import dependence.

The latest approvals underscore the government’s push to deepen domestic electronics manufacturing by moving beyond final assembly towards components, materials and manufacturing equipment.

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Nitisha Dubey
Nitisha Dubey
Nitisha Dubey is a journalist at EFY. She focuses on startups and innovations with a deep interest in new technologies and business models.

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